MedImpact Study is First to Assess Impact of Rx-to-OTC Movement of Loratadine; Prescription Utilization Decreased Substantially After Introduction of an OTC Version.

SAN DIEGO -- MedImpact, the nation's largest privately held pharmacy benefit management (PBM) company, has completed a research study on loratadine, a second-generation antihistamine (SGA). The purpose of the research was to assess the overall impact of the prescription (Rx) to over-the-counter (OTC) movement of loratadine as well as the specific impact of different pharmacy benefit structures on prescription drug utilization and cost in a variety of plan sponsors. MedImpact and the University of Colorado at Denver and Health Sciences Center (UCDHSC) were collaborators on the study.

Study findings demonstrated that utilization for all SGAs decreased substantially, regardless of the level of benefit restrictions, after an OTC version of loratadine became available in December 2002. Study highlights were presented last month at the 10th Annual Meeting of the International Society for Pharmacoeconomics and Outcomes Research (ISPOR). The complete study will be published in the June 2005 issue of the American Journal of Managed Care (AJMC).

"While there have been previous simulation models assessing the impact of the Rx-to-OTC movement of loratadine, the MedImpact study is the first empirical assessment," said Dr. Louis Brunetti, medical director for MedImpact. "We are proud to be accepted for publication by the AJMC. With our partners at the UCDHSC we were able to design and complete a high quality study that stands up to rigorous peer evaluation."

Study findings showed that utilization of SGAs decreased between 65% and 88%, depending on the benefit design. The study also demonstrated cost savings of up to $21.57 per member per month (PMPM) for plan sponsors. Cost savings were realized for plans that made no changes to the benefit as well as for those that moved coverage to the third tier or restricted access through prior authorization. Contrary to expectations, the study also showed that members facing restricted prescription benefits for SGAs did not appear to increase utilization of other medications. An increase in this restricted group would suggest suboptimal treatment in patients with common comorbid conditions to allergic rhinitis.

"MedImpact's commitment to research, such as this loratadine study, is just another example of how we foster a partnership-based relationship with our clients," said Dr. Brunetti. "Our research capabilities enable us to assess many factors that can affect cost and quality of care for our clients and their employees and families. We are glad to work with our clients to provide evidence-based information and insight that is valuable as they make benefit design and other important decisions about their pharmacy benefit programs."

About MedImpact Healthcare Systems, Inc.

MedImpact Healthcare Systems, Inc., based in San Diego, California, was founded in 1989. The company currently services 27 million members nationwide with clients that include Fortune 500 corporations, unions, managed care organizations, insurance carriers, third-party administrators, as well as local, state and federal employee programs. MedImpact bases its success on delivering innovative products and services designed to lower overall client cost while increasing member satisfaction and quality of care.

About UCDHSC

The University of Colorado at Denver and Health Sciences Center is one of three campuses in the University of Colorado system. Located in Denver and Aurora, Colorado, the center includes schools of medicine, nursing, pharmacy, and dentistry, a graduate school and a teaching hospital. For more information, visit the Website at www.uchsc.edu.